Despite flooding and road closures, Fraser Valley home sales remained strong in November 2021

Dec 2 2021, 8:47 pm

Even though the second half of November 2021 was a turbulent period for the Fraser Valley, residential sales activity remained strong, continuing to soar and deplete supply further.

The Fraser Valley Real Estate Board’s (FVREB) newly released statistics for last month’s performance show Abbotsford — particularly hit hard by flooding within its eastern areas, and the closure of Highway 1 — saw 114 single-family dwelling sales, which is just two fewer homes than October 2021.

Townhouse and apartment sales in Abbotsford, reaching 63 and 106 units, respectively, were also marginally higher than October 2021’s figures. Abbotsford’s benchmark price for single-family dwellings reached $1.252 million (42% year-over-year increase), townhouses reached $617,000 (28% year-over-year increase), and apartments reached $415,000 (28% year-over-year increase).

Poor weather and road accessibility conditions did not appear to deter prospective buyers. However, flood-impacted properties and highway closures were located mainly east of Abbotsford’s most populated areas.

Overall, home sales within FVREB’s jurisdiction — also entailing Surrey, North Delta, White Rock, Langley, and Mission — remained robust.

FVREB reported the month had the second highest volume of sales of all property types for the month of November, second only to November 2016.

There were a total of 1,972 home sales, representing a 9.2% decrease compared to the 2,173 sales in the same month last year and a 1.8% month-over-month increase from the 1,938 sales in October 2021.

“Lack of supply continues to be the biggest factor impacting the market. To see sales increase from October to November, even slightly, is unusual. Typically, as the weather changes and the holiday season approaches, we see sales start to decline, but not this year,” said Larry Anderson, president of FVREB, in a statement.

There were 2,096 new listings during the month — a 4.2% decrease compared to October 2021, but a decrease of 5.5% compared to the 2,217 new listings in November 2020. But November 2021 was slightly above the 10-year average for the month’s new listings, which is 1,948.

The month ended with 3,048 active listings, representing a drop of 11.6% compared to October 2021 and a decrease of 48% year-over-year. Supply shortages continue to drive up prices; in a typical November market, inventory levels within FVREB would be more than doubled.

The benchmark price within the FVREB in November 2021 was $1.101 million (21.5% year-over-year increase), with single-family dwellings at $1.448 million (36% year-over-year increase), townhouses at $740,000 (29.8% year-over-year increase), and apartments at $530,000 (21.7% year-over-year increase).

For the major FVREB market of Surrey:

  • single-family dwellings sales reached 362 units (33% year-over-year drop) and the benchmark price reached $1.558 million (34.7% year-over-year increase; 3.4% increase from October 2021)
  • apartment sales reached 305 units (53% year-over-year increase) and the benchmark price reached $477,400 (18.8% year-over-year increase; 3.3% increase from October 2021)
  • townhouse sales reached 266 units (20% year-over-year drop) and the benchmark price reached $770,000 (30% year-over-year increase; 3.2% increase from October 2021)

“We’re seeing a number of factors at play, including historically low interest rates fueling purchases, with buyers aware that rates are likely to increase next year,” said Baldev Gill, FVREB CEO.

“Our province has seen a strong economic recovery in most sectors through this pandemic, and this strength bolsters home purchasing decisions.”

FVREB’s statistics do not include the performance of Fraser Valley communities east of Abbotsford and Mission, specifically Chilliwack, which may have seen more of an impact by recent weather events. At the time of writing, the Chilliwack and District Real Estate Board has yet to release its data for November 2021.

Other municipalities in Metro Vancouver are under the jurisdiction of the Real Estate Board of Greater Vancouver.

November 2021 home sales statistics: FVREB

  • Detached homes
    • Number of units sold: 713 (+2.0% over October 2021; +27.1% over November 2020)
    • Number of active listings: 2,500 (-13.9% over October 2021; -45.2% over November 2020)
    • Benchmark price: $1,293,300 (+3.7% over October 2021; +36.4% over November 2020)
    • Average days on market: 24
  • Apartment homes
    • Number of units sold: 614 (+10.4% over October 2021; +42.8% over November 2020)
    • Number of active listings: 643 (-16.6% over October 2021; -58.5% over November 2020)
    • Benchmark price: $530,400 (+3.2% over October 2021; +21.7% over November 2020)
    • Average days on market: 24
  • Townhomes
    • Number of units sold: 436 (-13.7% over October 2021; -18% over November 2020)
    • Number of active listings: 370 (-8.6% over October 2021; -62.5% over November 2020)
    • Benchmark price: $740,100 (+2.7% over October 2021; +29.8% over November 2020)
    • Average days on market: 16

Kenneth ChanKenneth Chan

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